Which of the following would not appear on a statement of cash flows? A) cost of goods sold B) proceeds from issuance of common shares C) payments to a supplier D) cash sales

Question

Quizplus · Accepted Answer

Cost of goods sold is an expense item on the income statement, and is not directly related to cash inflows or outflows. The statement of cash flows shows only the changes in cash due to operating, investing, and financing activities during the period. Therefore, items such as proceeds from issuance of common shares (financing activity), payments to a supplier (operating activity), and cash sales (operating activity) would appear on a statement of cash flows.

Which of the Following Would not Appear on a Statement